Tax time can be stressful for some but welcomed by others. If you are in this latter group, this probably means that you are getting or have gotten a refund from Uncle Sam. If you want to put it to good use, why not put it towards Mercedes-Benz financing for a new or pre-owned car? Mercedes-Benz of Asheville has tips to help you get the most out of it.
Supply a Sizable Down Payment
Depending on the size of your refund, you may want to use it entirely for your down payment. The more you can put up immediately, the better off you will be, as a smaller loan can equate to lower monthly payments. Aiming to supply 20% of the sale price is a good rule of thumb to follow. If you can’t quite make it to 20%, consider trading in an older vehicle, as it could still have a lot of value.
Choose the Right Monthly Payment and Loan Term
Along with your down payment, a smart financial plan also needs to include a good monthly payment and loan term. To make sure you can handle the payments every month, these shouldn’t exceed 10% of your income. When thinking about the length of the loan, it is a wise idea to choose a term around four or five years. This will enable you to have reasonable monthly payments and not have to pay too much in interest.
Start the Mercedes-Benz Financing Process in Asheville, NC
With your extra money, now is a great time to shop for a fantastic vehicle. If you want to start the financing process, it’s simple with Mercedes-Benz of Asheville. Just fill out our online application to get pre-approved for a loan and schedule a test drive today!
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